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UBA Capital changes to United Capital Plc

By The Citizen
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The shareholders of UBA Capital Plc have approved a change of name for the company to differentiate it from United Bank for Africa Plc.

The change of name was one of three special resolutions passed by the shareholders at the company's extraordinary general meeting, which was held in Lagos on Tuesday.

Specifically, the shareholders agreed that 'the name of the company be changed to United Capital Plc to reflect its separate identity from United Bank for Africa Plc.'

Also, at the EGM, a special resolution was passed allowing the amendment of the memorandum and articles of association.

The resolution read, 'That the memorandum and articles of association of the company be amended accordingly.'

Apart from approving the name change, the shareholders also passed a resolution reviewing the company's expansion plan, the 'Regional Business Expansion Across Africa' for which it has raise funds via rights.

The resolution allowed the change of use of rights issue proceeds.

It read, 'That on the recommendation of the directors that in view of the health concerns in some parts of Africa and subject to obtaining the requisite approvals and amendments by the Securities and Exchange Commission and other regulators, the board of directors be and is hereby authorised to discontinue the regional business expansion across Africa as approved in the rights circular of 2013 and transfer the sum of N402.3m originally meant for the Regional Business Expansion Across Africa into the working capital of the company.'

UBA Capital, a financial and investment services group, was a subsidiary of United Bank For Africa Plc until 2012 when the bank decided to operate as a standalone commercial bank.

The move was in line with an earlier directive by the Central Bank of Nigeria, which stated that commercial banks must divest from their non-banking business or create a holding company.

In January 2013, the Nigerian Stock Exchange four billion ordinary shares of the company into its Daily Official List at N1.16 per share.

According to the Exchange, the company, which is listed in the other financial services sub-sector of the financial services sector, currently has a market capitalisation of N9.120bn and six billion shares on issue.

The company paid had paid its shareholders N1.5bn , representing 25 kobo per share, as dividend for the 2013 financial year after its gross earnings and profit after tax rose by 241 per cent and 106 per cent for the year.

It was a year in which the company repositioned itself for growth, according to the Group Chief Executive Officer, Mrs. Oluwatoyin Sanni.

'2013 was a year of laying a solid foundation for the legacy we are building as Africa's leading investment banking group,' she said.